State Controller John Chiang told the Sacramento Press Club this afternoon that he will soon be printing IOUs if the Legislature and Gov. Arnold Schwarzenegger can't agree on a state budget.
"If current conditions hold," Chiang said, "we could start issuing IOUs in two to four weeks."
The state issued about 450,000 IOUs for two months last summer during a cash crunch as the 2009-2010 budget was being re-written. The state also issued IOUs in 1983 and 1992.
Chiang wouldn't give an exact date for the IOU issuance. He said the state's cash position changes daily.